The update comes as Texas Instruments is seeing robust growth in several different segments heading into Q1 of 2026.

“The overall semiconductor market recovery is continuing,” Ilan said on the call. He said the new capacity that Texas Instruments has built over the past several years “is going to serve us well.”

He added that although the company “sees good opportunities in all of our markets,” industrial, data centers and automotive currently have the most potential. 

“We are seeing recovery continuing in the industrial market...[and] we still have a lot of room to go,” Ilan said. “I expect industrial to establish new highs in the future.” He also said that data centers are becoming a bigger part of the company’s business and are “starting to move the numbers for us.”

The automotive sector, which makes up roughly 35% of Texas Instruments’ revenue, was $5.8 billion, up 6% year over year. Ilan said he expects the sector to continue growing over the next five years and saw particular strength in China in Q4. 

According to a company press release, cash flow from operations of $7.2 billion for the trailing 12 months “underscored the strength of our business model, the quality of our product portfolio and the benefit of 300mm production.” Free cash flow for the same period was $2.9 billion.

Over the past 12 months, Texas Instruments said it has invested $3.9 billion in research and development and selling, general and administrative expenses, invested $4.6 billion in capital expenditures and returned $6.5 billion to owners.

The Dallas-based company saw its analog segment, which includes power management devices and signal chain products, grow 14% year over year in Q4. The embedded processing segment, which includes microcontrollers, processors and radar products, climbed 8% YoY.

Looking ahead, Texas Instruments said it’s expecting Q1 revenue between $4.32 billion and $4.68 billion. It estimated that earnings per share will be between $1.22 and $1.48.

CFO Rafael Lizardi said the company will continue to invest in data centers and other areas this year that deliver free cash flow. “We will stay focused in the areas that add value in the long term,” he said.